Who is buying who in the merge with sirius and xm radio?

Question

Who is buying who in the merge with sirius and xm radio?

Answer 1

is that a joke?!?!?! sirius has beat the sh*t out of XM as far as listeners, XM is begging for the merger to go through b/c of how dirt poor they are.  and its all because of my fav. howard stern. love him.

PS

of course stern is wanting it to go through too because it means more listeners for him too! not that he needs it however....

Answer 2

sirius is buying xm. the only reason the GOV dont want it to happen is because of stern. they hate him cause they cant shup him up. its about time the freedom of speech was given back to the public. F the FCC

Answer 3

To answer your question, its  a merger of equals ,according to the original press release.   They want to create a cafeteria situation where you choose the stations you want from both services.  That will work well for my wife and I since we like services on both sirius and xm.

Answer 4

The government is not allowing the merge right now because they do not know the effects on the market it will have since it will become a possible monopoly.

Answer 5

I think one of your "who"s should be a "whom." But Whom am I to criticise?

Sirius is offering to buy XM with 4.6 shares of their stock per share of XM stock. They haven't decided which name they'll operate under. Mel Karmazin formerly of CBS and now the head of Sirius will remain as Prez.

There will be lots of options for selecting music at varying rates.

A couple of government agencies have to approve the deal which is still working backstage for the time being.

As for the stock:

In the last several months XMSR has stayed basically flat with a little bump when they got some good news on the merger. SIRI is in pretty close lock step. XM Stockholders will get 4.6 Sirius shares.

SIRI closed at $3.15 today and XM at about $13 with about a 10%-12% arbitrage.

And to top it all off, there are some analysts who said earlier this week they are now not as sure the deal will go through.

If that happens both companies insist they'l be OK on their own as separate entities - and they can try again after the elections (my thoughts).

If the deal goes through, my opinion is SIRI will go down (because of the dilution) and XM will go up and they'll meet somewhere in the middle for the combined new company's first combined closing at $2-$3. Once speculators see there's not a fortune to be made, they'll bail out, take any profits and the combined stock, after some flux, will end up between $3-$6 and stay there for a while.

One of the investment firms (Stifel Nicolaus & Company) just readjusted their projected 12 month SIRI price to $4.25 from $4.75 - still rated a buy.

-a guy named duh